HomePoliticsByo council debt hits $34b

Byo council debt hits $34b

Staff Writer

GOVERNMENT and residents’ debt to the cash-strapped city of Bulawayo has risen by about $8 billion from $25 billion in one month alone.

ana, Arial, Helvetica, sans-serif”>Figures released by the Bulawayo city council’s Finance and Development Committee show that as of July residents and government owed the council a staggering $33,8 billion in unpaid rates, up from $25,5 billion the previous month.

Bulawayo residents owe council $25,4 billion, while government departments owe a further $8,4 billion in unpaid rates.

Council says failure by residents and government departments to service their debts has compromised service delivery in the city.

Council records indicate residents owe the largest amount, $12 billion in water bills, while rates and other supplementary charges make up $8 billion.

The council has embarked on a water disconnection exercise in a bid to force residents and government departments to pay up. In the past the move has not yielded the desired results.

The Ministry of Home Affairs owes council the biggest amount of $839 million, while the Ministry of Water Resources and Infrastructural Development owes $749 million.

Government barred the Bulawayo city council from effecting rate increases during the current financial year, leaving the municipality in financial dire-straits.

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